I recently read a book that mentioned there being a lot of power and benefits of a personal corporation but I'm curious as to when a corporation is actually beneficial over the latter. 

I tried to create rapport with the owner over the phone but waited to present my real agenda only in person.   

I personally would revisit your strategy of buying a negative cash flow property in SoCal, right now.

It was a personal referral, received a credit at closing for renovations as well How did you finance this deal?

But the risk to the seller on this deal is immense you have a guy tying up a property who has no ability to close it and then sell it to whoever will give him money and that person could be nefarious get into title rip rents could give 2 craps about the sellers credit etc etc..

Personal Guarantee: Will you require this?

I am not a huge fan of them personally as they are PE investors and have a very, very narrow view of the industry and how it should be approached. 

Avoiding accessive PM fees (personally I recommend most people self-manage)These will eat away at your ROI.

Another benefit is it is much easier to diversify into multiple markets, asset classes and operators.Just wanted to share an alternative - often active investing is the way to go, but it really depends on the person and it is important to know that there are passive ways to accomplish your financial goals.Good luck!

Explore my personal favorites, Set For Life by Scott Trench or The Total Money Makeover by Dave Ramsey, for invaluable financial insights.3.